If you operate a limo business, you understand customers expect a high standard of service. Limo service walks a fine line between standard business operations and car services.

Limo companies face unique insurance risks. Insurance for limo services is almost always a requirement. You have make sure you follow all laws requiring your business to carry insurance. You likely have a lot of different policy options to consider when insuring the business.

Choosing Insurance for a Limo Service

Local law often mandates required insurance elements for limo companies. You often have to walk a fine line for coverage. Limo insurance should include elements of commercial auto insurance and standard business insurance.

Commercial auto insurance usually includes certain coverage:

• Collision coverage: If a limo has an accident, this coverage may help you pay for damages to the vehicles and their contents.
• Comprehensive damage coverage: If a peril like weather, fire or theft impacts a limousine, coverage can help make repairs.
• Property damage insurance: Property damage coverage might pay for damages to other peoples’ vehicles or to property like lamp posts or fences.
• Bodily injury liability coverage: If a limo accident causes injury to another driver or passenger, this coverage can help with medical claims.
• Personal injury protection: If you or passengers get hurt in an accident, this element of coverage might extend to your own medical needs. It can cover a wide array of medical services.
• Medical payments coverage: You can use this part of your policy to cover excess medical needs of drivers and passengers.
• Uninsured motorist coverage: You might have an accident where the other driver is at fault. However, that driver may not have insurance to help meet your financial claims. Uninsured coverage can help you get help from your own policy.
• Furthermore, because limo service is a business, remember to insure the business elements.
• General Liability Insurance: Coverage protects the business in case a person claims injury or harm by the company. You might be able to compensate the party, fight legal claims and institute changes.
• Errors & Omissions Coverage: If the limo company fails to provide the correct services, or gives bad business advice, a client could claim damages. This coverage helps you fight back against claims that your mistake led to problems.
• Workers’ Compensation: You might have to provide workers’ comp if the driver gets hurt or sick on the job. This insurance can compensate the driver as he or she recovers.